Binance Dismisses Rumor of Company Plan to Build Blockchain Country on Private Island

binance island vector

He Yi, Binance co-founder dismissed the claims of a fintech media platform that Binance has started something called the “Genesis Plan.” The plan was allegedly to build Binance’s own blockchain-powered country on a private island, Chinese local media outfit QQ News reports May 16th.

Chinese fintech media outlet Yibencaijing, had cited “insider sources familiar with the matter,” to corroborate its story. According to their sources, Binance had purchased an island and has plans to trial unprecedented blockchain applications in the crypto paradisal kingdom, where cryptocurrencies would be legal tender.

He Yi’s rebuttal of the claims maintain the company’s vision is indeed to “promote the legalization of the blockchain and crypto industries globally,” but that:

“The article [in question] is maliciously tarnishing the image of Binance and causing regulators in the country to have a bad impression of Binance. To create a country? It is absolutely absurd to fabricate such a story.”

The fintech outfit also cited a known Chinese whitepaper that had circulated earlier this year. Entitled “Republic of Blockchains”, it was a project for a sovereign blockchain-driven country at the frontier of the UN, which would liberate mankind from the centralized nation-state machine, dubbed “a cruel jungle law of mutual distrust.”

Binance is considered the world’s second largest cryptocurrency exchange going by trade volume. Binance CEO Zhao Changpeng had previously claimed assets worth as much as $2 billion. The company has repeatedly denied claims it’s move to Malta was to escape regulatory oversigh, instead stressing the positive outlook of the island’s robust and transparent crypto regulatory climate.

Fintech Strategist Asks Investment Advisors to Get Smart on Crypto

Financial Advisors

In an interview with CNBC May 16th, Lex Sokolin, Global Director of Fintech strategy at Autonomous Research remarked that investment advisors need to familiarize themselves with crypto and its underlying technology, however skeptical they may be.

Sokolin opined that investors will buy Bitcoin (BTC) whether advisors “like it or not,” so both individuals and financial advisors need to adapt to the phenomenon:

“Cryptocurrency is very controversial, but it’s really here to stay, and the underlying [blockchain] technology is really fundamental to the types of companies that people are building right now.”

However, Sokolin also stressed the volatility of the market, noting that it wouldn’t be a smart move to fill your entire portfolio with cryptocurrencies. He instead suggested that investing in crypto “is a good way to add alternatives to your general allocation, something like 3 [percent] to 5 percent of your portfolio.”

The traditional financial sector has historically viewed the crypto industry with some distrust. Major wall street players such as Merrill Lynch have even banned their financial advisors from buying Bitcoin-related investments for their clients. They even banned clients’ access to the Bitcoin futures contracts offered on CME and CBOE.

This skepticism was mirrored by JP Morgan CEO Jamie Dimon’s outspoken dismissal of Bitcoin as “a fraud” last year, a statement he soon claimed to regret, later softening his stance to one of avowed indifference. Dimon said he was, “not interested that much in the subject at all.”

Earlier this year, Wall Street has begun softening its stance on crypto. Investment banking giant Goldman Sachs has announced it would offer certain contracts with Bitcoin exposure, before rumoredly offering crypto trading.

Recent news that the New York Stock Exchange’s owner may soon offer swap contracts in BTC may suggest that the major custody and security obstacles to mainstream institutional investment in the crypto space are being slowly overcome. Beyond the US, Japan-based global investment bank Nomura also revealed a digital asset custody solution for institutional clients yesterday.

Blockchain has made similar headlines this week, with Amazon Web Services, the tech giant’s cloud computing arm, announcing that they are launching a partnership with a ConsenSys’ blockchain startup to offer simplified blockchain cloud platforms to its clients.

CNET Founder Rakes in $50 Million on ICO for Video Streaming Token

Video Streaming Token

Streaming doesn’t really make a profit for big tv networks these days.

This might all change if VideoCoin, a new decentralized project that’s taking aim at the price major broadcasters and media companies pay to stream content, succeeds.

When a broadcaster sends out a broadcast over the airwaves, one signal will reach several devices. However, once it broadcasts over the net, one signal goes to one device.

“It’s all cost and no revenue,”

said Halsey Minor, CEO of LivePlanet an Immersive video startup, said at Consensus 2018. Live Planet is a strategic partner in VideoCoin, which announced Wednesday the completion of a $50 million initial coin offering (ICO) entirely through private investment.

Investors included names such as Galaxy Investment Partners, Alphabit Fund, ethereum co-founder Anthony Di Iorio, Akamai Co-Founder Randall Kaplan and Science Blockchain. VideoCoin won’t be doing a public sale, however, instead will do an airdrop to its supporters over their Telegram channel within the following weeks.

Minor, best known for founding tech media website CNET, said that

“What we’re building is the next-generation infrastructure for how you do video processing and distribution services.”

VideoCoin’s plan is to create a platform that enables broadcasters to send their video streams out to unused computer infrastructures, like server farms that have an excess capacity for the process.

Minor has had a track record of betting on early tech that faced doubt at first. One of Salesforce’s early investors, Minor gambled companies would put their data into the cloud in order to better manage relationships with customers.

Since that time, cloud computing businesses have taken off, with Amazon Web Services becoming the dominant player in that field.

“I think most people would believe that Amazon Web Services is the last step in computing,”

Minor continued.

Minor thinks that by decentralizing computing tasks, that there is still more margin that can be shaved off the cost of computing services

“I believe the blockchain could unleash a highly competitive market on computing in the same way I believed Salesforce could change enterprise software.”

With the completion of their token sale, the company announced it would update its product roadmap and new partnerships support adoption of the open source VideoCoin platform. Halsey concluded that:

“The one use case the blockchain that’s going to work first is the commodification of hardware. It’s perfect for it.”